UPM Raflatac Announces Closure of Kaltenkirchen Factory
UPM Raflatac has made the decision to shut down its factory in Kaltenkirchen, Germany, as part of a larger strategy to enhance efficiency and productivity. This closure is set to unfold in stages throughout 2025, emphasizing strong customer service, product quality, and overall competitiveness.
Strategic Transition of Production
The label material production currently handled at Kaltenkirchen will be relocated to UPM Raflatac's facilities in Poland and Finland. Additionally, the graphics solutions segment will transition to a production site in Belgium during 2025. The current operations for graphics solutions at Kaltenkirchen will remain in place until the upgraded CM 3 coating line has been successfully installed and operational.
Enhancing Profitability and Growth
Tim Kirchen, Executive Vice President at UPM Raflatac, remarked on the changes, stating, "The aim of these changes is to accelerate our growth in the Films and Graphics business by improving the overall profitability of our operations and maximizing synergies. By centralizing production at more cost-competitive factories, we aim to boost cost efficiency and product quality, thus enabling us to serve our customers better." This strategic initiative aims to bolster UPM Raflatac's market position and streamline their operations significantly.
The Future of UPM Raflatac
Despite the closure of the Kaltenkirchen factory, UPM Raflatac continues to be a leading provider of high-quality self-adhesive products. They currently operate 13 factories globally and have delivered innovative and sustainable products through an expansive network of distribution terminals. The company reported sales of nearly EUR 1.5 billion (approximately USD 1.6 billion) in the past year.
Contact Information
For more information, please reach out to Tim Kirchen, Executive Vice President, through UPM Media Relations via phone. You can find UPM Raflatac's full product offering, which includes a range of reliable self-adhesive papers and films, on our official website.
About UPM Raflatac
UPM Raflatac specializes in producing top-of-the-line self-adhesive paper and film products that serve various applications, including label materials and removable self-adhesive solutions. As an essential part of UPM's growth initiatives, the company employs around 3,100 professionals dedicated to excellence and sustainability.
Frequently Asked Questions
What is the reason for the factory closure?
The closure aims to enhance efficiency and competitiveness by centralizing production to cost-competitive factories.
How many positions are affected by the closure?
A total of 154 positions at the Kaltenkirchen factory will be impacted by the closure.
When will the closure take place?
The closure will occur in stages throughout 2025, focusing on a seamless transition for affected operations.
Where will production be transferred?
Label production will move to UPM Raflatac's factories in Poland and Finland, while graphics solutions will be relocated to Belgium.
What is UPM Raflatac's annual sales figure?
In 2023, UPM Raflatac's sales reached nearly EUR 1.5 billion, indicating robust business performance.
